Mr. Friedman says that although directors were briefed occasionally on the actions the New York Fed took regarding AIG, that was just a courtesy. “The New York Fed board was not involved in the decisions to take any actions related to AIG,” he said.

Friedman says he’ll resign by the end of the year. That ought to and will probably come much sooner. Meanwhile, he’ll be all right:

Mr. Friedman’s December and January stock purchases now are showing accrued gains of $2.7 million.

Really nice digging here by the Journal.

If you'd like to help CJR and win a chance at one of 10 free print subscriptions, take a brief survey for us here.

Ryan Chittum is a former Wall Street Journal reporter, and deputy editor of The Audit, CJR's business section. If you see notable business journalism, give him a heads-up at rc2538@columbia.edu. Follow him on Twitter at @ryanchittum.